Find Insurance Companies That Provide The Best Coverage For The Money

By Fabiana I. Celler

While car insurance premiums seem to increase every year, getting a policy is still considered a must. It is unfortunate though, that a lot of people make the mistake of getting only the state-mandated minimums. It is typically recommended to get as much coverage as you can afford, but getting the right kind of coverage can be difficult if you don't already know how they work.

This is why it is important to know what you can do to impact the kind of rates you can get when going out to find insurance companies. While comparison-shopping is a good idea when starting out, don't stop there as you can also ask about discounts you can qualify for, along with other things you can change to get those better rates.

The first thing you should do before shopping for your insurance coverage is understand the different kinds of coverage that can make up your policy. Liability coverage such as property damage liability, injury and death claims are covered under this and should be your main concern should you go out to find auto insurance companies. You can choose to forgo coverage that cover damage to your own car such as collision and comprehensive coverage for cars that are 10 years or older.

This is because the cost to pay for repairs is comparable to what you would pay cumulatively for comprehensive and collision coverage. Medical payments and uninsured/under-insured coverages are optional in most states, so you will want to decide if it is better to invest in more liability coverage instead, if you can afford it. The type of vehicle you own can also have a huge effect on insurance premiums. Sportier models are more expensive to insure because they are the cause of more personal injury claims than any other car segment. On the other hand, SUVs are typically safer for the people who travel in them, but can also be quite expensive to insure because of higher theft rates compared to other vehicle segments.

You will also want to understand the things about you that can also affect your premiums. Having a clean driving history free from violations will benefit from hugely reduced rates compared to those who have hits on their records.

Other factors such as your age, gender, your marital status, and where you live can also impact the kind of auto insurance rates that are offered to you. If there has been a recent change to any of these things, you will want to ask about them the next time you try to renew your policy to make sure they get factored in, especially if you know that it can lower the kind of rates they can offer you.